Budget 2014: Income management scheme to extend to Ceduna

The council at Ceduna on the west coast of South Australia has welcomed a Federal Government decision to extend an income management program.

The scheme already operates in the remote APY Lands and in the City of Playford in Adelaide's northern suburbs.

It forces welfare recipients to spend payments on food, rent and clothing, but there have been critics since it was introduced by the former federal Labor government.

Those who volunteer for the program have half of their welfare benefits allocated to essentials, while those forced onto the scheme have 70 per cent of their income controlled.

Ceduna Mayor Alan Suter is pleased with its extension, saying his community has campaigned for and desperately needs it.

"There has been a feeling that it could do a lot to address some issues faced by people because of excessive consumption of alcohol and consequently neglecting children and so on," he said.

"It's very good to see Members of Parliament that do so much to help you. We're used to asking and getting very little response, but in this case the response has been outstanding. That's a pleasant change."

A budget allocation of $101.1 million will expand the program nationally next financial year, including to Ceduna from July.

Director of the Aboriginal Drug and Alcohol Centre of South Australia, Scott Wilson, says his discussions with the Federal Government indicate the scheme will be voluntary at Ceduna.

"We were obviously happy that it's a voluntary scheme, it's not compulsory like they do have in parts of Northern Territory and places like that," he said.

"[We are happy] as long as it is voluntary and people are quite well aware that it is a voluntary arrangement, so they're only on the income protection for upwards of 13 weeks and then it (control of the payment) reverts back to them.

"It's an opportunity for people perhaps to learn how to budget a little bit better."

Education support for Indigenous students

South Australia's Association of Independent Schools thinks few schools will see a share of budget funds to support Indigenous students in boarding schools.

The federal budget has allocated $6.8 million for non-government schools, many of which have Indigenous boarders from remote areas.

Association chief executive Carolyn Grantskalns believes very few schools will would fit the criteria.

She says none she knows of in South Australia would be eligible.

"If the fund had been provided without the proviso that you have to have 50 Indigenous boarders or 50 per cent of your boarders being Indigenous that would have been a really positive thing because any school that was hoping to promote Indigenous boarding as part of their boarding community would be able to access those grants," she said.